Paytm cuts losses in FY20, aims to log profits by 2022
Fintech firm Paytm on Friday said its revenue for the financial year ended March 31 increased 1.4 per cent year on year (YOY) to ~3,629 crore on the back of higher digital transactions and point-of-sale devices among small businesses.
The Noida-based company also said it had narrowed losses by 40 per cent YOY on account of optimisation of expenses, which the start-up claimed would help it become profitable by 2022. The firm, however, did not disclose the losses for the financial year in terms of absolute figures.
In FY19, its losses stood at ~4,217.20 crore.
The company has clocked more than 17 million merchant partners benefiting from its payment and financial services. Its overall transactions grew by over 50 per cent annually.
The fintech firm has launched several products such as Paytm for Business app, Soundbox, Business Khata, and Payout to help small businesses. Its Android POS device has hit 200,000 units in sales.
“We are on the path of empowering millions of Indians with digital financial services that would play a key role in building Atmanirbhar Bharat,” said Madhur Deora, president, Paytm.
“We are also investing heavily in building digital services for our merchant partners so that they can benefit from technology and financial inclusion,” he said.
This comes at a time when the start-up has been continuously venturing into newer businesses.
Paytm Money, its digital investment platform, went live with its stock-broking services last month.
Paytm and its Founder and Chief Executive Vijay Shekhar Sharma acquired Raheja QBE General Insurance for nearly ~568 crore in July.
“If we were to be a large company after 15 years, we should be an incredible insurer. The biggest amounts are held with the insurance companies. In India, Life Insurance Corporation acts as a rescue machine whenever there is capital required or, globally, Berkshire Hathaway to AIA hold large pools of capital available to be deployed,” he had said in an earlier interaction.